EV is an entire ecosystem including automobiles, batteries, power and technology.
If you are looking for returns from stocks which could benefit from EV in next 2 years, then it is not a good investment strategy. WHY — Because EV is a game of the future. Invest only if you have a horizon of 10 years.
Now, coming to stocks which can give 30–40% in 2 years (though there is no certainty in stock market, but these stocks are quality stocks and you can hold them longer for > 30–40% returns).
So, here are our bets for 30–40% returns in the next 2 years :—
1. Tech — Tata Elxsi, LTTS, Persistent. Yes, they have already zoomed a lot. So, don't invest all at once. Buy slowly in every dip and these companies have the potential to give even more returns going forward.
2. Power — Tata Power
For longer time period (around 10 years) —
- Batteries — Amara Raja, Exide or Chemicals — Tata chemicals (though there are better options available in the chemical sector, but this post is only in context of EV)
- Automobile — Tata motors (Early mover advantage). But, enter this stock if you have strong conviction, as it is still in losses.
In short, all the Tata stocks are going to do well, once the EV industry booms.
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